Startup Professionals Musings

DECEMBER 23, 2013

Too many founders are convinced they “need” equity financing, for the wrong reasons, as outlined in the book and supplemented with a bit of my own experience: Need employees and professional services. Of course, every company needs these, in due time. Need expensive resources up front. General startup expenses are beyond your means.

Bootstrapping 252

Bootstrapping Sweat Equity Entrepreneur Technical Review 252

Startup Professionals Musings

NOVEMBER 13, 2012

Too many founders are convinced they “need” equity financing, for the wrong reasons, as outlined in the book and supplemented with a bit of my own experience: Need employees and professional services. Of course, every company needs these, in due time. Need expensive resources up front. General startup expenses are beyond your means.

Sweat Equity 239

Sweat Equity Technical Review Bootstrapping Equity 239

Startup Professionals Musings

APRIL 8, 2015

Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment. One more key employee or one more investor will probably not turn the situation around. Calculate employee stock option values and vesting times, as well as salary. Marty Zwilling.

Technical Review 120

Technical Review Due Diligence Sweat Equity Burn Rate 120

Startup Professionals Musings

APRIL 10, 2016

Most founders like to talk about their many months or years of sweat-equity , but cash invested is a stronger commitment. One more key employee or one more investor will probably not turn the situation around. Calculate employee stock option values and vesting times, as well as salary.

Sweat Equity 120

Sweat Equity Burn Rate Technical Review Intellectual Property 120

Startup Professionals Musings

SEPTEMBER 22, 2011

Too many founders are convinced they “need” equity financing, for the wrong reasons, as outlined in the book and supplemented with a bit of my own experience: Need employees and professional services. Of course, every company needs these, in due time. Need expensive resources up front. General startup expenses are beyond your means.

Sweat Equity 255

Sweat Equity Technical Review Entrepreneur Bootstrapping 255

Gust

DECEMBER 15, 2013

Too many founders are convinced they “need” equity financing, for the wrong reasons, as outlined in the book and supplemented with a bit of my own experience: Need employees and professional services. Of course, every company needs these, in due time. Need expensive resources up front. General startup expenses are beyond your means.

Bootstrapping 183

Bootstrapping Sweat Equity Entrepreneur Technical Review 183

The Startup Magazine

JANUARY 10, 2023

Hufnagel, who possesses an intrinsically driven personality, leads with passionate optimism that pushes him beyond obstacles—and he looks for employees who share his unbridled enthusiasm. At The Lemon Perfect Company’s headquarters in Atlanta, Hufnagel says employees are as passionate as he is. Photo by nappy: [link]. “I

Hiring 131

Hiring Founder Sweat Equity Cofounder 131

View from Seed

DECEMBER 4, 2014

You don’t really need to worry about how much common stock will be set aside for an employee option pool or how much preferred stock might be issued from raising future VC rounds in order to determine an equitable founder stock division. Capital Investment & Sweat Equity.

Equity 315

Equity Founder Sweat Equity Cofounder 315

Agile VC

DECEMBER 4, 2014

You don’t really need to worry about how much common stock will be set aside for an employee option pool or how much preferred stock might be issued from raising future VC rounds in order to determine an equitable founder stock division. Both of these are typically reflected in the founder equity split.

Cofounder 255

Cofounder Equity Founder Sweat Equity 255

discuss.joelonsoftware.com

NOVEMBER 1, 2010

where I can learn about how to build a sweat equity team? Right now, my business is just myself and a part-time employee who does support, testing, and product usability design. Rather, it is a proposal for sweat-equity investors. The challenge here is to find candidate sweat equity partners who: 1.

Sweat Equity 40

Sweat Equity Equity Angel Investor Affiliate 40

Startup Professionals Musings

DECEMBER 16, 2013

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. You need to know this as a future employee, since it probably gates how long your new job will last. due diligence employee entrepreneur investor startup' Now you know.

Due Diligence 253

Due Diligence Sweat Equity Intellectual Property Burn Rate 253

Agile VC

DECEMBER 4, 2014

You don’t really need to worry about how much common stock will be set aside for an employee option pool or how much preferred stock might be issued from raising future VC rounds in order to determine an equitable founder stock division. Both of these are typically reflected in the founder equity split.

Cofounder 173

Cofounder Equity Founder Sweat Equity 173

Startup Professionals Musings

NOVEMBER 2, 2012

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. You need to know this as a future employee, since it probably gates how long your new job will last. How much “skin” is already in the game? What’s in this deal for me? Now you know.

Due Diligence 244

Due Diligence Sweat Equity Burn Rate Intellectual Property 244

Gust

DECEMBER 8, 2013

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. You need to know this as a future employee, since it probably gates how long your new job will last. Invested Interests due diligence employees investors startup' Now you know.

Due Diligence 174

Due Diligence Sweat Equity Intellectual Property Burn Rate 174

Startup Professionals Musings

SEPTEMBER 5, 2011

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. You need to know this as a future employee, since it probably gates how long your new job will last. How much “skin” is already in the game? What’s in this deal for me? Now you know.

Due Diligence 237

Due Diligence Sweat Equity Intellectual Property Entrepreneur 237

Startup Professionals Musings

AUGUST 20, 2010

If you really want to impress a startup founder as a potential employee, or you want to be a smart investor, you need to know the right questions to ask. You need to know this as a future employee, since it probably gates how long your new job will last. Tags: entrepreneur startup investor due diligence employee. Now you know.

Due Diligence 229

Due Diligence Sweat Equity Intellectual Property Startup 229

Gust

APRIL 11, 2014

” That’s because whatever price the public investors are paying for their shares, the founders, employees and earlier investors invariably paid less (in cash; sweat equity is another story). The required “ dilution table ” quantifies this effect in a way that is supposed to be helpful to investors.

Dilution 162

Dilution Equity Pre-Money Valuation Prospectus 162

Austin Startup

JANUARY 30, 2020

We made it from nothing, built it up with sweat equity, do everything in our means to make this thing grow, and wait to see what happens. 3) Go after a new customer segment: we went after corporate employees that have remote policies and commuter college students.

Sweat Equity 63

Sweat Equity B2B B2C Business Model 63

Up and Running

JUNE 23, 2015

“It took an enormous investment of sweat equity on both our parts,” Allyson admits. As an employee of Palo Alto Software, I remember reading about Maternova because in 2012, they won the “Business Boost” competition we were sponsoring, and a grand prize of $10,000.

Cofounder 60

Cofounder Sweat Equity Social Media Business Model 60

Up and Running

APRIL 10, 2019

Taking on your first employees. Many businesses will hire recruiting and onboarding agencies to find employees for their burgeoning digital marketing agency, but if you’re going to build an agency without funding then you need to be doing this yourself. Training your employees can be a costly business if you are not wise.

Marketing 79

Marketing Bootstrapping Sweat Equity Harvest 79

The Equity Kicker

SEPTEMBER 2, 2015

The founding team sets the mould for future employees of a company and the oft repeated cliche that A players hire A players while B players hire C players is very true. Most commonly that’s done through freelance arrangements and sweat equity deals. Building the right founding team. And that includes the choice of co-founder.

Sweat Equity 60

Sweat Equity Cofounder Angel Investor eCommerce 60

Startup Professionals Musings

FEBRUARY 28, 2010

I would like my sweat equity and existing IP to be the risk that I incur without also risking an asset that could easily represent the majority of my total assets. By separating the name in a lease arrangement, I was also hoping to be able to offer greater equity to a potential co-founder and early employees.

Sweat Equity 188

Sweat Equity Entrepreneur Equity CPA 188

Austin Startup

SEPTEMBER 19, 2017

As founders, your job includes selling product to customers, stock to investors, and opportunity to employees. You might consider starting with an offer to invest at a low valuation before discussing sweat equity. I think of this as an early test of the founding team’s sales ability.

Advisory Board 48

Advisory Board Sweat Equity Marketing Vertical 48

Up and Running

AUGUST 19, 2014

If you don’t have the money to pay your employees and vendors who make running your business possible, it’s not the right time to pay yourself. Owning a business requires plenty of “sweat equity,” and initially often results in working far harder than you’re being compensated for—and earning less than if you worked for someone else!

Salary 119

Salary Sweat Equity Silicon Valley Sales Cycle 119

ReadWriteStart

SEPTEMBER 18, 2012

EDGE : First, you need to make sure you need a co-founder, and not an employee. Don’t worry about defining equity until you understand what each co-founder does. It could be money, sweat equity, connections or industry experience. But there needs to be mutual appreciation. LESONSKY : How does CoFoundersLab help?

Cofounder 150

Cofounder Founder St. Louis Sweat Equity 150

Scott Edward Walker

JUNE 23, 2011

The most common employment violations are (i) misclassifying an employee as an independent contractor and/or (ii) failing to pay an employee the minimum wage. In short, employees must be paid at least the applicable minimum wage (and typically, at least semi-monthly). Potential Criminal Violations Employment Laws.

Accredited Investor 82

Accredited Investor Sweat Equity Los Angeles Finder 82

Up and Running

FEBRUARY 5, 2010

It’s for founders who are totally committed to it, for investors who spend money and, later, for the most important trusted key employees. There is only 100 percent ownership in a company. It’s not for your cousins, your in-laws, the lawyer who did the initial paperwork or the vendor who did the website. It lasts forever.

Equity 60

Equity Sweat Equity Cofounder Startup 60

ReadWriteStart

SEPTEMBER 18, 2012

EDGE : First, you need to make sure you need a co-founder, and not an employee. Don’t worry about defining equity until you understand what each co-founder does. It could be money, sweat equity, connections or industry experience. But there needs to be mutual appreciation. LESONSKY : How does CoFoundersLab help?

Cofounder 110

Cofounder Founder St. Louis Sweat Equity 110

grasshopperherder.com

SEPTEMBER 24, 2011

Piercing the Corporate Veil – Sweat Equity Consulting. Some have been as co-founder, most have been as a consultant with the possibility of becoming an paid employee, “as soon as we close our funding round.” If you did, why would you be consulting for sweat equity instead of investing as a VC or for yourself?

Sweat Equity 41

Sweat Equity Equity Cofounder Non-Compete 41

ConversionXL

NOVEMBER 6, 2019

Co-founder and CEO Kyle Wong, who was featured on Forbes’ 30 Under 30 List, says the company’s MVP was built using “sweat equity.” Ambit provides companies with conversational chatbots, which they refer to as “digital employees.”. Pixlee is a visual-marketing platform that helps companies connect with influencers.

Sweat Equity 78

Sweat Equity Software Review Vesting Cofounder 78

chrischandler.name

NOVEMBER 1, 2010

If you’ve considered finding and asking a developer for his or her time in exchange for sweat equity, I’m going to strongly advise you against it. Equity to a developer works the same way, except it’s often approached as hiring an employee instead of bringing on an investor.

Equity 40

Equity Developer Entrepreneur Syndicate 40

Small Business Force

JANUARY 25, 2013

Too many entrepreneurs end up not only investing their life savings but continuing to also invest "sweat equity" while paying employees, suppliers and landlords. In the early going, things are less formal, and if you're an S corporation with no employees, you're probably not doing the formal payroll thing."Sam"

Sweat Equity 37

Sweat Equity Salary Early Stage America 37

ConversionXL

NOVEMBER 6, 2019

Co-founder and CEO Kyle Wong, who was featured on Forbes’ 30 Under 30 List, says the company’s MVP was built using “sweat equity.” Ambit provides companies with conversational chatbots, which they refer to as “digital employees.”. Pixlee is a visual-marketing platform that helps companies connect with influencers.

Sweat Equity 50

Sweat Equity Software Review Vesting Cofounder 50

infochachkie.com

SEPTEMBER 24, 2011

Unlike employee training costs, which can typically be spread over years of service, the relative return from training a consultant is modest and pricey. This mistake, if left uncorrected, could have resulted in significant negative tax consequences for both our employees and the company. link] Luis Rivera. link] Luis Rivera.

Equity 40

Equity Silicon Valley Cofounder Technical Review 40

www.virtuosimedia.com

MARCH 8, 2012

It’s simply an untenable situation to expect the technical co-founder to assume the full burden of risk through sweat equity. Future employees will be grateful and if either of you ever needs to step down from the business, it will be easier for someone else to step in their place.

Technical Cofounder 41

Technical Cofounder Cofounder Technical Review NDA 41

grasshopper.com

SEPTEMBER 24, 2011

Sweat Equity Or Equity With Compensation? The arrangement of pure equity without additional compensation is considered a fairly risky agreement. The potential pay-out could be quite large since you will likely be offered significant equity if no money is involved. per year along with your regular pay.

Equity 41

Equity Vesting Sweat Equity Salary 41

Gust

MAY 24, 2012

As a quick review, most startups begin life as corporations with a single class of equity securities, referred to as Common Stock , issued to founders, employees, and outside service providers. Options and warrants, when issued, are also typically exercisable for shares of Common Stock.

IPO 159

IPO Equity Common Stock Stock 159